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<br />DES:djk 02/24/99
<br />F: Shared/RedwoodlCouncil/ Agmt - 237
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<br />agrees that City may deduct the amount thereof from any monies due or that
<br />may become due under this Agreement.
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<br />It is further agreed that in case the work called for under this Agreement is not
<br />completed in all of its parts and requirements within the number of calendar
<br />days specified, City shall have the right to increase the number of calendar
<br />days or not, as may seem best to serve the interest of City; and if it is decided
<br />to increase the said number of calendar days, City shall further have the right
<br />to charge to Contractor, and deduct from the final payment for the work, all or
<br />any part, as City may deem proper, of the actual cost of engineering,
<br />inspection, superintendence, and other overhead expenses of City which are
<br />directly chargeable to this Agreement, except that the cost of final surveys
<br />and the preparation of the final estimate shall not be included in such charges
<br />to be paid by Contractor.
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<br />6. Except as otherwise may be provided herein, Contractor hereby expressly
<br />guarantees for one (1) full year from the date of the final completion of the
<br />work under this Agreement and acceptance thereof by City's City Council, to
<br />repair or replace any part of the work performed hereunder which constitutes
<br />a defect resulting from the use of inferior or defective materials, equipment or
<br />workmanship. If, within said period, any repairs or replacements in connection
<br />with the work are, in the opinion of the City Engineer, rendered necessary as a
<br />result of the use of inferior or defective materials, equipment or workmanship,
<br />Contractor agrees, upon receipt of notice from City, and without expense to
<br />City, to promptly repair or replace such material or workmanship and/or
<br />correct any and all defects therein. If Contractor, after such notice, fails to
<br />proceed promptly to comply with the terms of this guarantee, City may
<br />perform the work necessary to effectuate such correction and recover the
<br />cost thereof from Contractor or his sureties.
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<br />Any and all other special guarantees which may be applicable to definite parts
<br />of the work under this Agreement shall be considered as an additional
<br />guarantee and shall not reduce or limit the guarantee as provided by
<br />Contractor pursuant to this paragraph during the first year of the life of such
<br />guarantee.
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<br />7. Contractor hereby agrees to indemnify and save harmless City, its Council,
<br />officers, boards, commissions, agents and employees of and from any and all
<br />claims, suits or actions of every name, kind and description which may be
<br />brought against City, its Council, officers, boards, commissions, agents, or
<br />employees by reason of any injury to or death of any person or damage
<br />suffered or sustained by any person or corporation, caused by, or alleged to
<br />have been caused by, any act or omission to act, negligent or otherwise, of
<br />Contractor, its officers, agents or employees in the performance of any work
<br />required of Contractor by this Agreement.
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<br />The duty of Contractor to indemnify and save harmless, as set forth herein,
<br />shall include a duty to defend as set forth in Section 2778 of the California
<br />Civil Code; provided, however, that nothing herein shall be construed to
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